The Hill vs The Junction, true annual running costs compared 2026
Last updated July 2026 · council rates current NSW schedules, ATO 91c/km, Opal & Translink fares, AER electricity benchmarks
The Hill and The Junction are both Newcastle rates (OLG suburbs, sitting 0.8 km and 2.3 km from Newcastle CBD respectively, and are commonly compared by buyers weighing up running costs within the same council area.
The Hill runs $1,017 a year cheaper than The Junction, driven mostly by home insurance. Over 10 years at 3% growth that gap compounds to about $11,659.
Over 10 years the gap between these two is about $11,700, about $22 a week, and most of it is the AI-estimated insurance line.
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The Junction
Annual cost breakdown
| Category | The Hill | The Junction | Difference |
|---|---|---|---|
| Council rates Official, 2026-27 | $1,858 | $1,858 | - |
| Water & sewerage Official, 2026-27 | $1,377 | $1,377 | - |
| Commute (driving) Modelled, 2026-27 | $514 | $781 | -$267 |
| Commute (public transport) Modelled, 2026-27 | $2,400 | $2,400 | - |
| Home insurance Estimated | $1,100 | $1,850 | -$750 |
| Body corporate (unit) Estimated | $1,800 | $1,800 | - |
| Total (driving) | $4,849 | $5,866 | -$1,017 |
| Total (public transport) | $6,735 | $7,485 | -$750 |
Totals exclude electricity, estimated separately below. Green = cheaper. Commute: ATO 91c/km, 220 working days. Insurance estimated from ACCC premium rates; actual premiums vary. Council rates: average residential rate (NSW, IPART-uplifted).
| Dwelling | The Hill | The Junction | Difference |
|---|---|---|---|
| House | $2,342 | $2,342 | - |
| Unit | $1,909 | $1,909 | - |
Estimated from AER residential benchmarks for each suburb's climate zone at 2026-27 regulated prices for each suburb's electricity network, including supply charge (AER Default Market Offer caps, or the QCA price in regional Queensland; unit ≈ 75% of a house). Get the free report for a breakdown by your exact number of occupants.
Cost breakdown chart
Annual cost breakdown, The Hill vs The Junction (2026-27)
What the numbers show
The Hill and The Junction differ by $1,017 a year by car, but $750 of that is the building insurance estimate rather than a published figure. On the sourced costs, council rates, water and the commute, the gap is $267, so neither suburb is named cheaper here.
The biggest single gap is home insurance at $750 per year. The Junction carries high flood risk, which pushes estimated premiums higher.
On public transport the gap is $750 per year, $6,735 from The Hill versus $7,485 from The Junction.
Where the difference actually comes from
- Council rates is identical at $1,858 a year.
- Water and sewerage is identical at $1,377 a year.
- Driving commute favours The Hill by $267 a year, $514 against $781.
- Building insurance favours The Hill by $750 a year, $1,100 against $1,850.
Both suburbs sit in the same council area, so the rates line is identical and none of the difference between them comes from council. What separates them is commute distance and the insurance band.
Flood risk is rated high in The Junction against low in The Hill, which feeds the insurance estimate.
10-year cumulative cost projection
| Year | The Hill cumulative | The Junction cumulative | Difference |
|---|---|---|---|
| Year 1 | $4,849 | $5,866 | $1,017 |
| Year 3 | $14,988 | $18,131 | $3,143 |
| Year 5 | $25,744 | $31,143 | $5,399 |
| Year 10 | $55,588 | $67,247 | $11,659 |
Assumes 3% annual cost growth. Excludes purchase price, mortgage, and personal expenses.
Frequently asked questions
Is The Hill or The Junction cheaper to live in?
Neither is named cheaper. The Hill runs $4,849 a year by car and The Junction $5,866, but most of the $1,017 difference is the building insurance estimate rather than a published figure. On council rates, water and the commute, which are sourced, the gap is $267. Source: SuburbCost 2026 data.
What are council rates in The Hill and The Junction?
Annual council rates for a house are $1,858 in The Hill (Newcastle rates (OLG) and $1,858 in The Junction (Newcastle rates (OLG). Water and sewerage adds $1,377 in The Hill and $1,377 in The Junction. Both figures are the average residential rate reported to the Office of Local Government, uplifted by each council's IPART rate peg.
How does the commute cost compare between The Hill and The Junction?
Annual driving commute costs are $514 from The Hill and $781 from The Junction to Newcastle CBD (ATO 91c/km). Public transport costs $2,400 from The Hill and $2,400 from The Junction.
What is the 10-year cost difference between The Hill and The Junction?
At 3% annual cost growth, The Hill costs a cumulative $55,588 and The Junction costs $67,247 over 10 years by car. The cumulative difference is $11,659 in favour of The Hill. Excludes purchase price, mortgage, and personal expenses.
Which of The Hill and The Junction suits you better?
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Sources: Newcastle rates (OLG and Newcastle rates (OLG rate data, water utility pricing (QLD: Queensland Urban Utilities / Unitywater; NSW: Sydney Water / Hunter Water), ATO 91c/km, and SuburbCost insurance estimates from ACCC premium rates. Data updated July 2026.